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LGC Capital completes Due Diligence on Global Canna Labs transaction and is proceeding with final documentation
LGC Capital completes Due Diligence on Global Canna Labs transaction and is proceeding wit...
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[{"type":"text","content":"\n\n\n\nLGC Capital completes Due Diligence on Global Canna Labs transaction and is proceeding with final documentation\n\n/* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n\n\n\n\n\n\n\nCanada NewsWire\nMONTREAL, April 20, 2018\n\n\n\nMONTREAL, April 20, 2018 /CNW Telbec/ - LGC Capital Ltd. (TSXV: LG) (\"LGC\") is pleased to announce it has successfully completed its due diligence on its proposed investment in Jamaican cannabis company Global Canna Labs Limited (\"Global Canna Labs\") and will soon be submitting all of the necessary agreements and supporting documentation to the TSX Venture Exchange for their approval.\n\n\n \n \n\n \nThe first 29,000 sq. feet of greenhouses, of the initial Stage 1 58,000 sq. feet build-out have been constructed at Montego Bay and a new 2,500 sq. feet nursey and mother plant complex is currently under construction. Global Canna Labs has applied for a Herbhouse license which enables  consumption and sales directly onsite. In addition to that Global Canna Labs have also applied for a Tier-2 processing license for extraction of cannabinoids. \n\nGlobal Canna Labs have also advised that the Jamaican Government's Cannabis Licensing Authority have completed their site inspections of the Montego Bay facilities on Thursday April 19 for converting their conditional Cultivator's Licence (Tier 3) (over 5 acres) to a full unconditional Cultivator's Licence and they expect formal approvals for the unconditional licence shortly.\n\nOn January 26, 2018, LGC announced that it had signed a Letter of Intent with Global Canna Labs and one of its major shareholders that provided for LGC subscribing for a $2.5 million secured debenture, convertible into an initial 30% strategic interest in Global Canna Labs and to also acquire a 5% royalty on Global Canna Labs' net sales for $2.4 million, payable in shares of LGC. (Refer to LGC's news release dated January 26, 2018 for full transaction details)\n\nThe Letter of Intent provided LGC the necessary time to carry out legal and technical due diligence, and this due diligence has now been successfully...